The Nigerian National Petroleum Company Ltd (NNPCL) has reported a 29% increase in its full-year profit to N3.3 trillion as revenues reached N23.99 trillion reflecting a boost in oil production.
The company recorded a profit of N3.3 trillion ($2.1 billion) for the 12 months ending in December, compared to N2.55 trillion in the previous year.
This was disclosed during a presentation at a media briefing in Abuja on Monday. The company also reported a total revenue of 24 trillion naira, though no comparative figure was provided.
Oritsemeyiwa Eyesan, the Executive Vice President of NNPCL’s upstream division, stated at the briefing that Nigeria is currently producing 1.75 million barrels of crude oil and condensates per day. This marks an increase from the year-to-date average of 1.56 million barrels per day, as noted during the briefing.
Result for 2022
In 2022, the Nigerian National Petroleum Company Ltd (NNPCL) reported its highest profit in 45 years, recording N2.548 trillion for the year. The national oil company, in its 2022 Financial Performance Report published online, highlighted that this profit was the highest since its establishment in 1977.
- According to the report, the company experienced losses of N803 billion in 2018, which increased to N1.7 billion in 2019.
- The report also identified 2020 as a ‘Turning Point,’ with a profit of N287 billion, and in 2021, the company’s profit rose to N674.1 billion, termed ‘Assurance.’ The upward trend continued, with NNPCL’s profit reaching N2.548 trillion in 2022.
- In October alone, just a few months after the subsidy removal, NNPC Ltd’s Chief Executive Officer, Mele Kyari, announced that the company remitted N4.5 trillion as revenue to the federation account. Despite these gains, the national oil company continues to grapple with widespread oil theft across the country, hampering the sector’s growth and revenue potential.
Backstory
The Nigerian National Petroleum Company Ltd (NNPCL) yesterday refuted media reports claiming that it owes international oil traders up to $6.8 billion and has not remitted any funds to the federation account since January of this year.
- In a statement, NNPCL clarified that since oil trading is conducted on a credit basis, it is normal for the company to have outstanding debts from time to time. It also emphasized that NNPCL remains the largest contributor to the federal allocation distributed monthly.
- The NNPCL stated that its subsidiaries have consistently fulfilled their tax obligations to the Federal Inland Revenue Service (FIRS), including the Company Income Tax (CIT) under the Road Investment Tax Credit Scheme.
